Answer:
The prize is worth $425,678.19.
Explanation:
Giving the following information:
Cash flow= $50,000
The number of years= 20 years.
Rate of return= 10%
First, we need to calculate the final value using the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual cash flow
FV= {50,000*[(1.1^20)-1]}/0.1
FV= $2,863,749.98
Now, the present value:
PV= FV/(1+i)^n
PV= 2,863,749.98/(1.1^20)
PV= $425,678.19
Answer:
Transaction cost
Explanation:
Transaction cost is the cost that is typically in money or time format. It is the cost involved in the context of time or money when a decision is made or an agreement has been reached.
So according to the given situation, there is an excessive amount of time or money spent on parties so that it could be reached to an agreement
Therefore it represents the transaction cost
Answer:
D
Explanation:
Complementary goods are goods that are consumed together
If the cost of microchips fall, it becomes cheaper to produce hardware. As a result, there would be an increase in the supply of hardware. An increase in supply would lead to a rightward shift of the supply curve. As a result equilibrium price decreases and equilibrium quantity increases.
As a a result of the decrease in price of hardware, it would become cheaper to purchase hardware. Thus, the demand for hardware increase. Since hardware and software are complements, there would also be an increase in the demand for software. This would lead to rightward shift of the demand curve for software. . An increase in demand leads to a rightward shift of the demand curve. As a result, equilibrium price and quantity increases
If your unemployment rate is high, that means you're making less money in all. If many people are without jobs, that means your labor force is also weak. Your employers will make a lot of cutbacks.
The practitioner must advise the client of the consequences as provided under the Code and regulations of such<span> noncompliance, error, or omission.
Failure to advice this will expose the practitioner to potential lawsuit equals to the potential loss experienced by the client from the </span> noncompliance, error, or omission<span>
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